The Railways Pension Scheme Order 1994

Buying Annuities

11C  The Trustee shall buy annuity or insurance policies in the names of beneficiaries.

These policies shall be with the UK office or branch of an Insurance Company. The policies shall be consistent with the Preservation Laws, the Contracting–out Laws and with Revenue Approval and shall provide benefits as nearly as practicable the same as the entitlements under the “Early Leavers” Rule of that Section.

If the Section Assets are insufficient, then unless the Rules of the Section specify a different order of priority to apply on winding–up, the following benefits under the Scheme shall be provided first and in the following order of priority (1) any benefits in respect of pensioners and of Members who reached Minimum Pension Age before the Participating Employers ceased to participate in the Section and (2) GMPs not yet payable, state scheme premiums and equivalent pension benefits for periods of non–participating employment under the National Insurance Act 1965(1).

(1)

1965 c. 51.